Question

Consider the current state of the airline industry, has the landscape changed since 2012? What external forces (PESTAL)do you think influenced these changes

Answer 1

Answer: Yes the state of the airlines industry has changed a lot since 2012. The first PESTLE factor that has impacted the state of the airlines industry is the economic factor. The economy in the U.S has improved from the after effects of the global financial crisis that was started in 2008. The U.S economy has made significant improvements since 2012 and this has improved the condition of airlines industry. The increased economic activity and the falling oil prices in the international markets have not only increased the demand in the industry but also supported the profitability and revenues. The second factor that has impacted the industry is technical factor. The technology has emerged as a major source of competitive advantage. The companies are not only using technology for improving security and customer service but also for distribution purposes. There has been a huge upsurge in the customers booking their tickets online through the websites and mobile apps. Another important PESTLE factor that has impacted the airlines industry since 2012 is the environmental factor. The aviation industry has been under tremendous pressures for improving environmental performance. This has resulted in many of the companies developing environmental practices in their operations. A number of companies have shifted to low fuel consumption and low noise aircraft fleets.